South Reach Networks Acquired by Blue Owl Digital Infrastructure

Rhea-AI Summary

Blue Owl Capital (NYSE:OWL) has acquired South Reach Networks (SRN), a Florida-based fiber infrastructure provider. SRN operates a 370-mile dark and lit fiber optic network connecting Jacksonville to Miami, with 5 colocation edge facilities and connectivity to 40 data centers, colocation facilities, and cable landing stations.

Following the acquisition, Scott Bergs, current CEO of Dark Fiber and Infrastructure (DF&I), will lead both companies. Blue Owl plans significant capital investment to expand SRN's network, focusing on meeting growing fiber demands in the Southeast region, particularly for hyperscale customers.

Positive

• Acquisition expands Blue Owl's fiber infrastructure presence in the strategic Southeast region
• Access to established network infrastructure with 370 miles of fiber and 5 colocation facilities
• Connectivity to 40 data centers and cable landing stations provides strong market position
• Significant planned capital investment for network expansion
• Synergies with existing Blue Owl portfolio company DF&I

Negative

• Integration challenges between SRN and DF&I operations
• CEO will split time between two companies, potentially affecting management focus
• Capital requirements for planned network expansion may impact short-term financials

News Market Reaction – OWL

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MIAMI , July 15, 2025 /PRNewswire/ -- Intermetro Fiber LLC d/b/a South Reach Networks ("SRN"), a Florida-based fiber infrastructure provider, announced today that it has been acquired by a fund managed by Blue Owl Capital's Digital Infrastructure strategy ("Blue Owl").

SRN is a dark and lit fiber optic infrastructure provider with a network spanning 370 miles across Florida. The network currently runs from Jacksonville to Miami, interconnecting with five SRN owned colocation edge facilities along the route. Today, the network is on or near-net to 40 data centers, colocation facilities, and cable landing stations. Blue Owl plans to invest significant capital into SRN, adding major new builds across the network.

Following the close of the acquisition, Scott Bergs, the current CEO of Dark Fiber and Infrastructure ("DF&I"), another Blue Owl portfolio company operating along the east coast in Virginia and Maryland, will assume the role of CEO of SRN, in addition to his role at DF&I. The acquisition will provide incremental scale and deepen Blue Owl's existing fiber capabilities, bolstering its ability to address the needs of the hyperscale and enterprise customers it serves.

Mr. Bergs commented, "South Reach Networks has established itself as the premier communications infrastructure provider in Florida, delivering critical dark fiber, colocation and related services to subsea cable providers and users, data centers, carriers and other private network operators. With Blue Owl, we will scale the business to meet the ever-growing need for more fiber from Jacksonville to Miami and beyond."

Mike Sevret, CRO of South Reach Networks commented, "I am incredibly proud of our team and what we all have accomplished at South Reach Networks over the years. With the new ownership, support, and vision of Blue Owl and the leadership team. I am truly excited for this next chapter and ready to expand and grow our digital footprint."

Chris Jensen, Managing Director, Digital Infrastructure at Blue Owl, who leads the firm's fiber investments added, "We are excited to support South Reach Networks in its expansion across Florida. The Southeast is a priority region for our hyperscale customers, and we look forward to further leveraging the strength of the business to expand across the region."

Akin Gump Strauss Hauer & Feld LLP served as legal advisor to Blue Owl. Winston & Strawn LLP served as legal advisor and Bank Street Group LLC served as exclusive financial advisor to Turning Rock Partners and South Reach Networks.

About South Reach Networks

South Reach Networks is an established, Florida-based telecommunications infrastructure provider. South Reach Networks fully constructs, owns and operates its Metro & Long-Haul Fiber Optic Network. With direct routes into its Carrier Class & Neutral Data Centers, the robust network spans 370 miles along the East Coast of Florida. South Reach Networks provides customers with global and domestic reach to the ever-expanding ecosystem of carriers, subsea, enterprise and wireless operators.  To learn more, visit https://SRNetworks.net. 

About Blue Owl

Blue Owl (NYSE: OWL) is a leading asset manager that is redefining alternatives^®.

With over $273 billion in assets under management as of March 31, 2025, we invest across three multi-strategy platforms: Credit, Real Assets, and GP Strategic Capital. Anchored by a strong permanent capital base, we provide businesses with private capital solutions to drive long-term growth and offer institutional investors, individual investors, and insurance companies differentiated alternative investment opportunities that aim to deliver strong performance, risk-adjusted returns, and capital preservation.

Together with over 1,200 experienced professionals globally, Blue Owl brings the vision and discipline to create the exceptional. To learn more, visit www.blueowl.com

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SOURCE South Reach Networks

FAQ

What did Blue Owl Capital (NYSE:OWL) acquire in July 2025?

Blue Owl Capital acquired South Reach Networks (SRN), a Florida-based fiber infrastructure provider with a 370-mile fiber optic network connecting Jacksonville to Miami.

How many data centers and facilities does South Reach Networks connect to?

SRN's network connects to 40 data centers, colocation facilities, and cable landing stations, including 5 SRN-owned colocation edge facilities.

Who will lead South Reach Networks after the Blue Owl acquisition?

Scott Bergs, the current CEO of Dark Fiber and Infrastructure (DF&I), will assume the role of CEO at SRN while maintaining his position at DF&I.

What are Blue Owl's expansion plans for South Reach Networks?

Blue Owl plans to invest significant capital into SRN to expand its network across Florida, focusing on meeting growing fiber demands from Jacksonville to Miami and beyond.

How does the South Reach Networks acquisition align with Blue Owl's strategy?

The acquisition strengthens Blue Owl's fiber capabilities in the Southeast, a priority region for their hyperscale customers, while providing incremental scale to their existing infrastructure portfolio.